Advantages of Factoring

Advantages of Factoring

A recent survey of 549 successful entrepreneurs polled respondents about the conditions that can influence the success or failure of a business startup. The top most critical success factors included: learning from their mistakes and their successes, previous work experience, a strong management team, and good luck. Interestingly, invoice factoring was mentioned by several of these respondents as a tactic that was critical to the success of their company. These entrepreneurs recognized that factoring allowed them to invest in their business and make it flourish.

Factoring has these advantages for the business owner:

The process is much faster than a conventional loan, and simpler. You also don’t incur new debt, as factoring is not a loan.

Collection of the debt is no longer the sole responsibility of your company. This frees your company’s resources for other business activities, allowing more productive results.

Factoring frees up your working capital. The typical ups and downs of a business can be better managed if you have adequate cash.

At A/R Funding, we combine a ready source of capital with professional accounts receivable management, allowing you to breathe easier about cash flow … and concentrate on growing your business. Our goal is simple: To create solutions for our clients to achieve their financial goals.